What is done with the profit that the bank added to a deposit without the owner’s request
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Fatwa No. ( 1803 )
Q: Many Muslim sons deposit the money they have in excess of their needs in savings accounts in banks, and at the end of the year they find that the bank has added a sum of money to their account, which is the interest due to them for the past period. None of us doubts that this interest is forbidden and does not remain with our lawful money. The problem is that we know many poor Muslims, whether they are Americans or foreign students, who are in the greatest need of assistance and of a helping hand of support and kindness. Is it not permissible to spend this money on them instead of giving it to the bank? The least that can be said about the bank is that it is owned by the enemies of the Muslims. This type of charity is not a substitute for charity from lawful money, but rather it is alongside it.
A: From 'Abadah ibn al-Samit (may Allah be pleased with him), that the Prophet (peace and blessings be upon him) said:Sahih Muslim 1587c It was narrated by al-Bukhari and Muslim in their authentic collections, and from Abu Sa'id al-Khudri (may Allah be pleased with him) who said: The Messenger of Allah (peace and blessings be upon him) said: Sahih Muslim 1584a , and in another wording: Sahih Muslim 1584e It was narrated by Ahmad and al-Bukhari. There is no doubt that the texts of the Book and the Sunnah which indicate the prohibition of riba in its two types, riba al-fadl and riba al-nasi'ah, did not distinguish between what occurred between a Muslim and a Muslim and what occurred between a Muslim and a disbeliever who is an enemy of Allah, Islam, and the Muslims. Rather, they ruled on the prohibition of all interest-based contracts, even if the parties to the contract differ in their religion. The mention of the existence of many poor Muslims in America, and their intense need for assistance and kindness, does not permit taking riba from banks or individuals to help the poor and alleviate their hardship, whether these people are in America or elsewhere. For this is not a dire necessity that permits for them what Allah has forbidden by the texts of the Book and the Sunnah, because there are other means of being kind to them which they can utilize to satisfy their need and alleviate their hardship. Likewise, the mention that the bank is owned by the enemies of Islam is not a justification for taking riba from the bank as long as peaceful commercial and cultural dealings are established between us and them, and the exchange of benefits between the two parties is prevalent.
And whoever has hatred for the enemies of Islam in his heart, and it pains him that the disbelievers profit from him in a way that aids them in their worldly affairs, and perhaps aids them in plotting against the Muslims—let him not deposit money in their banks, which they exploit and utilize in their lives. Rather, he should give it to someone who trades with it, sharing in the profit if possible, or without sharing. If that is not possible, he should deposit it in banks other than theirs if he is compelled to deposit it, and he should not take riba on it. The Muslims have begun to establish Islamic banks, and it has become easy for a Muslim to deposit his money in them. In that is the preservation of his money, if Allah wills, and support for them in establishing Islamic banks that will make us independent of interest-based banks. And Allah is the One who grants success.
Q: Many Muslim sons deposit the money they have in excess of their needs in savings accounts in banks, and at the end of the year they find that the bank has added a sum of money to their account, which is the interest due to them for the past period. None of us doubts that this interest is forbidden and does not remain with our lawful money. The problem is that we know many poor Muslims, whether they are Americans or foreign students, who are in the greatest need of assistance and of a helping hand of support and kindness. Is it not permissible to spend this money on them instead of giving it to the bank? The least that can be said about the bank is that it is owned by the enemies of the Muslims. This type of charity is not a substitute for charity from lawful money, but rather it is alongside it.
A: From 'Abadah ibn al-Samit (may Allah be pleased with him), that the Prophet (peace and blessings be upon him) said:
Gold is to be paid for by gold, silver by silver, wheat by wheat, barley by barley, dates by dates, and salt by salt, like for like and equal for equal, payment being made hand to hand. If these classes differ, then sell as you wish if payment is made hand to hand.
الذهب بالذهب، والفضة بالفضة، والبر بالبر، والشعير بالشعر، والتمر بالتمر، والملح بالملح، مثلاً بمثل، سواء بسواء، يدًا بيد، فإذا اختلفت هذه الأصناف فبيعوا كيف شئتم؛ إذا كان يدًا بيدDo not sell gold for gold, except like for like, and don't increase something of it upon something; and don't sell silver unless like for like, and don't increase some thing of it upon something, and do not sell for ready money something to be given later.
لا تبيعوا الذهب بالذهب إلا مثلاً بمثل، ولا تشفوا بعضها على بعض، ولا تبيعوا الورق بالورق إلا مثلاً بمثل، ولا تشفوا بعضها على بعض، ولا تبيعوا منها غائبًا بناجزGold is to be paid for by gold, silver by silver, wheat by wheat, barley by barley, dates by dates, salt by salt, like by like, payment being made hand to hand. He who made an addition to it, or asked for an addition, in fact dealt in usury. The receiver and the giver are equally guilty.
الذهب بالذهب، والفضة بالفضة، والبر بالبر، والشعير بالشعير، والتمر بالتمر، والملح بالملح، مثلاً بمثل، يدًا بيد، فمن زاد أو استزاد فقد أربى، الآخذ والمعطي فيه سواءAnd whoever has hatred for the enemies of Islam in his heart, and it pains him that the disbelievers profit from him in a way that aids them in their worldly affairs, and perhaps aids them in plotting against the Muslims—let him not deposit money in their banks, which they exploit and utilize in their lives. Rather, he should give it to someone who trades with it, sharing in the profit if possible, or without sharing. If that is not possible, he should deposit it in banks other than theirs if he is compelled to deposit it, and he should not take riba on it. The Muslims have begun to establish Islamic banks, and it has become easy for a Muslim to deposit his money in them. In that is the preservation of his money, if Allah wills, and support for them in establishing Islamic banks that will make us independent of interest-based banks. And Allah is the One who grants success.
Source
www.alifta.gov.sa
The Arabic text is copied verbatim from the original source, without any edits.